Business Irish

Grafton Group, which owns Woodie’s DIY, has reported a 19pc jump in operating profit to £194.5m (€227m) in the 12 months to 31 December.

Revenue increased 9pc to £2.95bn (€344bn) during the period, according to annual results from the group.

The performance was driven by strong organic growth in the company’s Ireland and Netherlands Merchanting business. It addition, it reported a 12pc increase in profit in its UK Merchanting arm, with a significant contribution from its Leyland SDM acquisition.

The group also benefitted from “excellent performances” in Woodie’s retailing in Ireland and mortar manufacturing in UK.

Overall revenue in Ireland increased to £643m in 2018, from £588m in 2017.

Meanwhile, earnings per share for the group were up 17pc to 63.3p, while dividends increased 16pc, in what is the sixth consecutive year of double-digit growth in dividends.

Gavin Slark, CEO of Grafton said: “2018 was another year of strong delivery against our medium-term targets achieved through a combination of organic and acquisition led initiatives.”

“Grafton continues to benefit from exposure to the fast growing Irish and Dutch markets and from strong underlying demand fundamentals in the UK market.”

The group said it acknowledges the potential short-term disruption which could result from a “no-deal” Brexit at the end of March, which could impact consumer confidence and sentiment.

“We have taken steps to identify and mitigate against specific short term risk areas including the supply of certain products,” Mr Slark said.